1. Chapter 14
Groups and Teams

2. Understanding Groups Group Formal groups Informal groups
Two or more interacting and interdependent individuals who come together to achieve particular goals
Formal groups
Work groups that have designated work assignments and tasks directed toward organizational goals
Informal groups
Groups that are independently formed to meet the social needs of their members
Work groups are a common arrangement within today’s business organizations. Work is being restructured around groups of all kinds and in all sizes of organizations. Managers need an understanding of group behaviour and the concept of teams in order to appreciate what groups can and cannot do within organizations and how groups function.
Groups exhibit different behaviour—more than just the sum total of each group member’s individual behaviour.
A group is defined as two or more interacting and interdependent individuals who come together to achieve particular objectives.
Formal groups are work groups established by the organization and who have designated work assignments and specific tasks (see Exhibit 14.1).
Informal groups are natural social formations that appear in the work environment.

3. Examples of Formal Groups
Command
Task
Cross-functional
Self-managed
Groups that are determined by the organization chart and composed of individuals who report directly to a given manager
Command Groups
Groups that are determined by the organization chart and composed of individuals who report directly to a given manager
Exhibit 14.1a

4. Examples of Formal Groups
Command
Task
Cross-functional
Self-managed
Groups composed of individuals brought together to complete a specific job task; their existence is often temporary because once the task is completed, the group disbands
Task Groups
Groups composed of individuals brought together to complete a specific job task; their existence is often temporary because once the task is completed, the group disbands
Exhibit 14.1b

5. Examples of Formal Groups
Command
Task
Cross-functional
Self-managed
Groups that bring together the knowledge and skills of individuals from various work areas or groups whose members have been trained to do each others’ jobs
Cross-functional Teams
Groups that bring together the knowledge and skills of individuals from various work areas or groups whose members have been trained to do each others’ jobs
Exhibit 14.1c

6. Examples of Formal Groups
Command
Task
Cross-functional
Self-managed
Groups that are essentially independent and in addition to their own tasks, take on traditional responsibilities, such as hiring, planning and scheduling, and performance evaluations
Self-managed Teams
Groups that are essentially independent and in addition to their own tasks, take on traditional responsibilities, such as hiring, planning and scheduling, and performance evaluations
Exhibit 14.1d

7. Stages in Group Development
Forming
Members join and begin the process of defining the group’s purpose, structure, and leadership
Storming
Intragroup conflict occurs as individuals resist control by the group and disagree over leadership
Norming
Close relationships develop as the group becomes cohesive and establishes its norms for acceptable behaviour
Performing
A fully functional group structure allows the group to focus on performing the task at hand
Adjourning
The group prepares to disband and is no longer concerned with high levels of performance
There is strong evidence that groups pass through five stages as they develop (see Exhibit 14.2).
1. Stage 1. Forming is the first stage in group development, during which people join the group and then define the group’s purpose, structure, and leadership. Forming is a stage characterized by much uncertainty. This stage is complete when members begin to think of themselves as part of a group.
2. Stage 2. Storming is the second stage of group development characterized by intragroup conflict. When this stage is complete, members will agree upon the leadership hierarchy and group direction.
3. Stage 3. Norming is the third stage of group development, characterized by close relationships and cohesiveness.
4. Stage 4. Performing is the fourth stage in group development, when the group is fully functional.
5. Stage 5. Adjourning is the final stage in group development for temporary groups. It’s characterized by concern with wrapping up activities rather than with task performance.

8. Stages of Group Development
There is strong evidence that groups pass through five stages as they develop (see Exhibit 14.2).

9. Group Member Resources
Member knowledge
Abilities
Skills
Personality characteristics
Group member resources include member knowledge, abilities, and skills; and personality characteristics.
Group member resources in cross-cultural groups. The relationship between group performance and member resources is made more challenging in global organizations where cross-cultural groups are prevalent.

10. Group Structure
Role
The set of expected behaviour patterns attributed to someone who occupies a given position in a social unit
Role conflict: experiencing differing role expectations
Role ambiguity: uncertainty about role expectations
There are seven aspects of the internal group structure. We looked at the first of these aspects, leadership, in chapter 12. The other six are covered here.
A role is a set of behaviour patterns expected of someone occupying a given position in a social unit. Role conflict can occur when an individual is confronted with different role expectations.

11. Group Structure (cont’d)
Norms
Acceptable standards or expectations that are shared by the group’s members
Common types of norms:
Effort and performance
Output levels, absenteeism, promptness, socializing
Dress
Loyalty
Norms are acceptable standards or expectations shared by a group’s members. Although each group has its own unique set of norms, there are common classes of norms that appear in organizations.

12. Group Structure (cont’d)
Conformity
Individuals conform in order to be accepted by groups
Group pressures can have an effect on an individual member’s judgment and attitudes
The effect of conformity is not as strong as it once was, although it is still a powerful force
Groupthink:
The extensive pressure of others in a strongly cohesive or threatened group that causes individual members to change their opinions to conform to that of the group
1. Norms focus on effort and performance, dress, and loyalty.
2. Because individuals desire acceptance by the groups to which they belong, they are susceptible to conformity pressure.
3. When an individual’s opinion of objective data differs significantly from that of others in the group, he/she feels extensive pressure to align his or her opinion to conform to others’ opinions. This is known as groupthink.

13. Examples of Cards Used in the Solomon Study
The impact that group pressures for conformity can have on an individual member’s judgment and attitudes was demonstrated in research by Solomon Asch.
Groups of seven or eight people were asked to compare two cards held up by the experimenter. One card had three lines of different lengths and the other had one line that was equal in length to one of the three lines on the other card (see Exhibit 14.4).
Each group member was to announce aloud which of the three lines matched the single line. Asch wanted to know what would happen if members began to give incorrect answers. The experiment was “fixed” so that all but one of the members (the unsuspecting subject) had been told ahead of time to start giving obviously incorrect answers after one or two rounds of these matching exercises.
Over many experiments and trials, the unsuspecting subject conformed over a third of the time; that is, the person gave answers he or she knew were wrong but that were consistent with the replies of other group members.

14. Group Structure: Group Size
Small groups
Complete tasks faster than larger groups
Make more effective use of facts
Large groups
Solve problems better than small groups
Are good for getting diverse input
Are more effective in fact-finding
Social Loafing
The tendency for individuals to expend less effort when working collectively than when working individually
Group size can also affect the group’s overall behaviour. The effect depends on which outcomes are focused on. An important finding related to group size is social loafing—the tendency for individuals to expend less effort when working collectively than when working individually.

15. Group Processes: Group Decision Making
Advantages
Generates more complete information and knowledge
Generates more diverse alternatives
Increases acceptance of a solution
Increases legitimacy of decision
Disadvantages
Time consuming
Minority domination
Pressures to conform
Ambiguous responsibility
Group processes include the communication patterns used by members to exchange information, group decision processes, leader behaviour, power dynamics, conflict interactions, and other actions.
Group Decision Making. Groups make many organizational decisions. There are both advantages and disadvantages to group decision making (see Exhibit 14.6).

16. Group Vs. Individual Decision Making
Criteria of Effectiveness Groups Individuals
Accuracy 
Speed 
Creativity 
Degree of acceptance 
Efficiency 
There are both advantages and disadvantages to group decision making (see Exhibit 14.6).

17. Conflict Management Conflict
The perceived incompatible differences in a group resulting in some form of interference with or opposition to its assigned tasks
Traditional view: conflict must it avoided
Human relations view: conflict is a natural and inevitable outcome in any group
Interactionist view: conflict can be a positive force and is absolutely necessary for effective group performance
Conflict management is another group concept that we need to understand.
Conflict is perceived incompatible differences that result in interference or opposition. There are a number of views about conflict:
a. Traditional view of conflict argues that conflict must be avoided.
b. The human relations view of conflict is the view that conflict is a natural and inevitable outcome in any group.
c. The interactionist view of conflict is the view that some conflict is necessary for a group to perform effectively.
d. Some conflicts are functional conflicts, those conflicts that support a group’s goals. Others are dysfunctional conflicts, which are conflicts that prevent a group from achieving its goals.

18. Conflict and Group Performance
Situation
Level of
Group
Performance
Low
High
Level of Conflict A C B
Group's
Internal
Characteristics
Type of Conflict
Low or none
Optimal
Dysfunctional
Functional
Apathetic
Stagnant
Unresponsive to Change
Lack of New Ideas
Viable
Self-Critical
Innovative
Disruptive
Chaotic
Uncooperative
Level of Group
Exhibit 14.8 illustrates the challenge facing managers regarding conflict and group performance.

19. Conflict Management (cont’d)
Categories of Conflict
Functional conflicts
Dysfunctional conflicts
Types of Conflict
Task conflict: content and goals of the work
Relationship conflict: interpersonal relationships
Process conflict: how the work gets done
Categories of Conflict
Functional conflicts are constructive
Dysfunctional conflicts are destructive
Three types of conflict have been identified:
1. Task conflict relates to the content and goals of the work.
2. Relationship conflict focuses on interpersonal relationships and is always dysfunctional.
3. Process conflict refers to how the work gets done.
Managers can use different conflict resolution approaches (see Exhibit 14.9).

20. Conflict Management (cont’d)
Techniques to Reduce Conflict:
Avoidance
Accommodation
Forcing
Compromise
Collaboration
Avoiding: The desire to withdraw from or suppress a conflict
Accommodating: The willingness of one party in a conflict to place the opponent’s interests above his or her own
Forcing: A desire to satisfy one’s interests, regardless of the impact on the other parties
Compromising: A situation in which each party to a conflict is willing to give up something
Collaborating: A situation where the parties to a conflict each desire to satisfy fully the concerns of all parties